30/07/2024 | Press release | Distributed by Public on 30/07/2024 13:55
Currently, the majority of homeowners are installing grid-tied solar systems that interact with their utility. However, there are other types of solar PV plus Battery systems, like Off-Grid, and Hybrid solar systems. These alternatives help reduce carbon emissions, lower electricity costs, and enhance energy security.
While finding the best solar system for your home, the choice between these three installation categories may depend on your location, budget, and overall energy goals.
In this guide, we discuss solar energy system basics, explore pros and cons, and showcase precisely how to choose the best solar power system for your home.
In the mid-2020s, a large majority of solar panels on homes are considered "grid-tied," which means that they're "tied" to the local utility grid and rely on it to function. With the help of net metering or net billing programs, grid-tied systems can lower your home's energy costs with minimal investment required.
With the help of an energy storage battery or a generator, off-grid solar systems function independently as a sustainable source of electricity anywhere the sun shines. Off-grid systems are necessary in remote areas without access to utility power.
Offering the "best of both worlds," a hybrid system refers to solar panels interconnected with the grid as well as a battery backup. Hybrid system popularity is accelerating, with grid-connected, battery-backed installations estimated to make up 28% of new distributed solar projects by 2028.
While comparing grid-tied, hybrid, and off-grid solar systems, you can weigh the following four factors to find the best solution for your home.
If your home is connected to the grid, your choices may be limited to a grid-tied or hybrid solar system, as utility disconnection is not permitted in most residential areas. Conversely, an off-grid solar system may be your only option on a property that does not receive electricity as a service.
Homes that frequently experience blackouts due to local weather or power line conditions should strongly consider a battery-backed solar system for ongoing access to electricity. Hybrid systems also allow you to use more of your solar energy directly, thus providing greater control over your power costs and carbon emissions.
Although the total price of an off-grid solar inverter and battery has lowered significantly in the last five years, hybrid systems are still more expensive than those without storage. Knowing this, grid-tied panels usually deliver the quickest payback period for American homeowners with the lowest upfront costs.
As you make these financial decisions, it's also important to consider any solar tax incentives or rebates available. Critically, the Inflation Reduction Act of 2022 allows eligible homeowners to earn income tax credits worth up to 30% of the total costs to install a solar system, with or without storage.
A grid-tied or hybrid solar panel system's value largely depends on what utility programs are available in your area. For example, the time-of-use billing structure and value of grid exports in NEM 3.0 incentivizes Californians to install batteries for maximum solar savings. Even further, states like Massachusetts and Colorado have launched smart grid-sharing programs specifically for homeowners with solar batteries.
If you are interested in going solar, it's worth it to explore your options and weigh the pros and cons of grid-tied, off-grid, and hybrid systems. Whether you want to maximize your savings, energy security, or environmental impact, an Enphase Home Energy System can help you reach your solar goals.
Learn more about home solar with Enphase.